Gold Price News and Forecast: XAU/USD spot consolidates losses by trading sideways
|Gold: A deeper correction before prices can start to regain their all-time highs
European markets were mixed as investors figure out what to do next after the exuberant vaccine-induced rally and following a soft session on Wall Street. Central bankers warned that a vaccine was not enough to end all the economic challenges, whilst oil fell after a big build in crude stockpiles. The dollar was steady as US 10-year yields declined to 0.88%.
The FTSE 100 dipped under 6,300 and the DAX struggled to hold 13,000. Energy and financials were the weakest, with tech, utilities and healthcare strongest in early trade as investors took a more risk-averse approach. Yesterday the S&P 500 and Dow Jones both fell 1%. Whilst there is great hope for next year because of the vaccine, we are from out of the worst of the pandemic – US cases are surging at record levels and lockdown measures persist in Europe. Airlines and travel fell sharply as profits were taken after some very large moves this week. Read more...
Gold spot consolidates losses by trading sideways
Gold not doing much this week after the crash on Monday. First resistance at 1883/86but a break higher is a buy signal targeting 189 & selling opportunity at 1897/1900with stops above 1904. A break higher however targets 1916/18, perhaps as far asresistance at 1921/23.
Holding first resistance at 1883/86 targets 1876 & 1872. If we continue lower look for1860/58 & 1855. A break below support at the September low at 1848/47 is a sellsignal initially targeting 1835. Read more...
Gold spot intraday: Bullish bias above 1862.00
Pivot (invalidation): 1862.00
Our preference
Long positions above 1862.00 with targets at 1890.00 & 1900.00 in extension.
Alternative scenario
Below 1862.00 look for further downside with 1850.00 & 1839.00 as targets.
Comment
The RSI is mixed to bullish. Read more...
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